8 Key Features of the 2013 Candidate Market (Part 2)
In the first part of this article we noted the changes that were occurring in the candidate market as a result of external forces such as: globalization, the arrival of generation Y, new social technologies, economic slowdown, mass redundancies, and high levels of job instability. I stressed the importance of employers staying in tune with the candidate market so they can maximize their appeal to talent.
I then set out four key features of today’s candidate marketplace, which were:
1. Ambitious and Career Agile candidates
2. Everybody loves flexible working
3. Much of the talent is self employed
4. Candidates want to connect with you via mobile
In this, the second installment of this article, I have set out the second four key features of the candidate market in 2013.
5. Internal hires candidates are outperforming external hires
Ever thought that if promoted to an internal post you would have done better than the “chump” they hired externally? Well, Wharton Business School completed a study last year comparing how internal candidates compare against external candidates doing a similar role. They found that external candidates were paid 18-20 percent more than internal candidates, yet they receive significantly lower performance evaluation scores for the first two years. Other studies have suggested that a reason for this phenomena is that skills are to some degree context dependent and that performance is heavily dependent on your internal networks and understanding of how the business works. This knowledge is in high abundance with internal candidates and often non-existent or only present in minimal proportions in newly appointed external candidates.
So, star talent may be right under your nose in your internal talent pool, so why not make 2013 the year that you promote from within?
6. Candidates are more ready and able to shout about bad hiring practices
CareerBuilder completed an Applicant Experience study last year and found that candidates who have bad experiences are making their complaints known across their network, which can, on some occasions, go viral thanks to the power of social media. Seventy-eight percent said they would talk about a bad experience with friends and family, and 17 percent would post something about their negative experience on a social network. Six percent were ready to blog about a bad applicant experience. 2013 is the time to develop a dream candidate experience so candidates will be talking about your business for the right reasons.
7. Candidates like to find jobs through word of mouth
CareerXRoad’s annual source of hire study has revealed that the best way to find a candidate is not using a job board but through networking. Their study revealed that 24.5 percent of jobs are filled from word of mouth compared to just 18.1 percent by job boards. Finding a job through networking is a far more social, gentile and in many ways rewarding way to find a job and employers can exploit this channel by setting up an employee referral scheme and using it to deliberately network with and find talent for your business.
8. Location is still the main motivator for candidates to apply for jobs
While the impact of pay cannot be underestimated, the Applicant Experience study from Career Builder found that the main reason that people apply for jobs by some clear way is location; so, choosing a prime location for your office (or enabling flexible working) is one of the best things you can do to attract talent in 2013. You might have a great business, a great brand, but in a hard to access, undesirable location and the truth is this could be acting as the biggest possible deterrent to applicants.
On the other hand, a great location could make you more desirable than companies in a more desirable industry, with a better reputation, better job or better advancement assignments.
Good luck hiring in 2013!